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cec1
New Member

Schedule K-1 section 1231 loss increases my tax

I'm entering Schedule K-1 information for a real estate partnership. The partnership sold some properties at a loss. When I enter a "Section 1231 loss" amount (negative number) from Box 20 on the K-1 form, my tax amount increased in TurboTax. Why would a loss increase my taxes?

2 Replies
cec1
New Member

Schedule K-1 section 1231 loss increases my tax

Correction: The Section 1231 loss is from Box 10 on the K-1 form.

Schedule K-1 section 1231 loss increases my tax

this does not completely explain your situation but if that loss also appears on line 20Z, then it reduced or eliminated the QBI/199A deduction thus increasing your taxes. 

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